Situation: Contracted for $95K, 1150 sq ft, 3 bedrooms, 2 baths, built-ins, bay window, 2 car garage, front covered porch, very cute.

If the work is not 100% complete by the end of the Escrow period, extension may implement a .50% (on total loan balance) extension fee that will cover an additional construction term of 60 days.

From my experience with underwriting we would typically budget for 1 in and 1 out as employees per 100 units - this would cover leasing and maintenance.

The details: I own 4 rental homes that are fully rented and together they cash flow $840 a month (2 are on 15 year mortgages so don't cover themselves but the other rentals cover it and then some) and I have a loan with my boyfriend for our primary residence which we also house hack with 3 renters, each paying $575 a month. 

I find with every tenant exit good/bad/indifferent, I add something to my addendum to cover me.

I don't see how this could possibly work for a one off investor If there is any equity at all the regulars are going to beat you up.. if I was of a mind to do this is would be looking at the surrounding counties that the big boys don't cover. 

If you can only cover the down payment I suggest waiting till you can cover all the costs, you don't want to be in a situation when a major repair hits and you have no money 

Always better to cover your butt just in case.https://www.irs.gov/pub/irs-pdf/fw9.pdf

Can I ask the section 8 individual to cover cost which I will reimburse once payment comes in or am i at the mercy of the government?

If he got a job somewhere else, we would move, but I'm concerned that we wouldn't be able to rent out a house in OC for enough to cover the mortgage + savings for cost of repairs- not to mention cash flow.